Results from the company’s Lone Mountain project continue to expand a mineralized zone down dip as well as towards surface.
Goldspike Exploration (TSXV:GSE)
Market cap: $20 million
Cash estimate: $1.5 million
Project: Lone Mountain
Ownership: 100 percent
Project status: Phase II drilling
- Initial results from the Phase II reverse-circulation (RC) drilling program on the company’s 100-percent-owned Lone Mountain project in Eureka County, Nevada continue to expand the mineralized zone down dip as well as towards surface.
- The project was initially drilled in 2007 by Aurogin Resources, but due to the non-sulfide mineralization, the significance of the zinc mineralization was not identified during the drilling program. Subsequent resampling returned 4.6 meters grading 41 percent zinc, but by this time the company was undergoing a reorganization, and work commitments to the underlying vendor were not met and the project went dormant.
- The first Goldspike RC drilling results were announced in November 2014, when LM-14-01 intersected 89.92 meters grading 6.22 percent zinc and 1.34 percent lead starting at a depth of 114 meters. The mineralization has now been traced over 120 meters on four sections and remains open in all directions. The true thickness remains to be determined, but based on current drilling, the company estimates the zone to average 40 meters with sections up to 100 meters wide.
- Maps on the company’s website outline a 1.3-kilometer zinc-in-soil anomaly tending to the northwest from the current drilling and a second one to the southeast on the other side of the historic mine workings.
- The company intends to start preliminary work to better understand the carbonate mineralogy of the deposit prior to conducting more detailed metallurgical studies.
Historical discovery hole (2007): 4.6 meters at 43 percent zinc
New discovery (November 2014): 89.92 meters at 6.2 percent zinc, 1.34 percent lead
Current drilling: 59.43 meters at 7.32 percent zinc, 0.65 percent lead; 92.96 meters at 3.47 percent zinc, 1.33 percent lead
This report makes not recommendations to buy sell or hold.
Wayne Hewgill is a geologist with extensive knowledge of the global mining industry gained through 30 years of diversified experience in mineral exploration and new business development in Canada, as well as 10 years living in Africa, New Zealand and Australia. He was previously senior research officer at BHP Billiton, an executive with an exploration company working in Argentina and a mining analyst at three Vancouver-based financial groups where he developed the Drill Tracker database in 2006. He holds a B.Sc. in Geology from the University of British Columbia and is registered as a Professional Geoscientist (P.Geo) with APEGBC.